Honda announces new $550 million plant in Indiana

As part of a $1.18 billion global expansion, Honda has announced that they will be building a $550 million assembly plant near Greensburg, Indiana. Back in May they announced that they would build a sixth North American plant somewhere in the Midwest. That news kicked off a bidding frenzy between Indiana, Ohio, Michigan, Illinois and Wisconsin to try and land the 2,000 jobs the factory will provide. At full production, the plant will produce up to 200,000 vehicles each year.

As they announced the plans, Honda officials pointed out that their connection to Indiana includes having provided many engines for the Indy 500, including all of the engines this year. The plant will boost North American capacity to 1.6 million vehicles annually from the current 1.4 million. It will boost the company’s payroll on the continent to 37,000 employees. THe plant will be ready in 2008 and will produce four cylinder vehicles, though the specifics aren’t yet clear.